Indonesia posts first trade deficit in 6 years
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The last time Indonesia’s monthly imports exceeded exports was in April 2020.
PHOTO: AFP
- Indonesia recorded its first trade deficit in six years in May 2026, mainly due to a shortfall in oil and gas trade.
- Imports rose sharply across consumption goods, capital goods, and raw materials, while exports fell 5.73% year-on-year.
- Economists warn the deficit could pressure the rupiah and economy if persistent, urging fuel consumption cuts, boosting domestic energy production.
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JAKARTA – Indonesia’s balance of trade has turned negative for the first time in six years as skyrocketing oil prices pushed up imports while weak global demand weighed on exports.
In a press conference on July 1, Statistics Indonesia (BPS) official Ateng Hartono said the US$1.61 billion (S$2 billion) deficit in May was “mainly due to” the large deficit in oil and gas trade.
